LOW Stock Analysis: Lowe's Companies | NYSE
Home Improvement Retail | NYSE, USA | Market Cap: 120.974m USD | 12M Return: -12.4% | US5486611073 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 583M
EPS Trend: -41.2%
Qual. Beats: 5
Rev. Trend: 13.3%
Qual. Beats: 0
Warnings
Tailwinds
No distinct edge detected
Seasonality 11.6 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Lowes Companies, Inc. (LOW) is one of the largest home improvement retailers in North America, operating in the United States and Canada. The company offers a broad assortment of products spanning construction, maintenance, repair, remodeling, and decorating, including categories such as appliances, lumber, lawn and garden, kitchens and bath, hardware, building materials, millwork, paint, plumbing, tools, electrical, flooring, and décor.
In addition to merchandise, Lowes generates revenue from installation services delivered through independent contractors, extended protection plans, repair services, and design/distribution services for interior surface finishes aimed at home builders and property managers. The company serves three primary customer groups: professional contractors, individual homeowners, and renters, selling both national brand-name and proprietary private label products.
Lowes distributes through an omnichannel network that includes its Lowes.com website, mobile applications, retail home improvement stores, outlet stores, and branch locations. Founded in 1921 and headquartered in Mooresville, North Carolina, Lowes is classified in the GICS Consumer Discretionary sector under the Home Improvement Retail sub-industry and is considered a large-cap stock. A notable feature of the home improvement retail model is the dual demand driver of consumer DIY projects and professional contractor (Pro) purchases, which Lowes addresses through its dedicated pro customer segment.
- Housing market weakness pressures comparable sales growth
- Home Depot competition intensifies for pro contractor share
- Tariff costs on imported goods compress gross margins
| Net Income: 6.64b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.13 > 0.02 and ΔFCF/TA -3.97 > 1.0 |
| NWC/Revenue: 2.44% < 20% (prev 1.22%; Δ 1.23% < -1%) |
| CFO/TA 0.17 > 3% & CFO 9.26b > Net Income 6.64b |
| Net Debt (41.8b) to EBITDA (12.2b): 3.41 < 3 |
| Current Ratio: 1.10 > 1.5 & < 3 |
| Outstanding Shares: last quarter (560.0m) vs 12m ago 0.0% < -2% |
| Gross Margin: 34.08% > 18% (prev 31.33%; Δ 2.75% > 0.5%) |
| Asset Turnover: 176.5% > 50% (prev 179.4%; Δ -2.91% > 0%) |
| Interest Coverage Ratio: 6.47 > 6 (EBIT TTM 10.3b / Interest Expense TTM 1.59b) |
| A: 0.04 (Total Current Assets 23.3b - Total Current Liabilities 21.1b) / Total Assets 55.9b |
| B: -0.15 (Retained Earnings -8.19b / Total Assets 55.9b) |
| C: 0.20 (EBIT TTM 10.3b / Avg Total Assets 51.2b) |
| D: -0.12 (Book Value of Equity -7.44b / Total Liabilities 63.3b) |
| Altman-Z'' = 1.01 = BB |
| DSRI: 0.94 (Receivables 1.24b/1.22b, Revenue 90.4b/83.6b) |
| GMI: 0.92 (GM 31.33% / 34.08%) |
| AQI: 3.57 (AQ_t 0.18 / AQ_t-1 0.05) |
| SGI: 1.08 (Revenue 90.4b / 83.6b) |
| TATA: -0.05 (NI 6.64b - CFO 9.26b) / TA 55.9b) |
| Beneish M = -1.57 (Cap -4..+1) = CCC |
As of August 20, 2026, the stock is trading at USD 220.00 with a total of 4,956,178 shares traded. Over the past week, the price has changed by +1.87%, over one month by +8.13%, over three months by +1.37% and over the past year by -12.42%.
Current recommended Stop Loss: 212.70 (which is 3.3% or 1.3 ATR below the current price).
Lowe's Companies has received a consensus analysts rating of 4.00. Therefore, it is recommended to buy LOW.
- StrongBuy: 18
- Buy: 4
- Hold: 13
- Sell: 1
- StrongSell: 1
| Analysts Target Price | 261.1 | 18.7% |
P/E Trailing = 18.2282
P/E Forward = 17.0648
P/S = 1.3666
P/B = 321.8177
P/EG = 1.4018
Revenue TTM = 90.4b USD
EBIT TTM = 10.3b USD
EBITDA TTM = 12.2b USD
Long Term Debt = 37.5b USD (from longTermDebt, last fiscal year)
Short Term Debt = 3.08b USD (from shortTermDebt, last quarter)
Debt = 45.2b USD (corrected: LT Debt 37.5b + ST Debt 3.08b) + Leases 4.60b
Net Debt = 41.8b USD (calculated: Debt 45.2b - CCE 3.41b)
Enterprise Value = 163b USD (121b + Debt 45.2b - CCE 3.41b)
Interest Coverage Ratio = 6.47 (Ebit TTM 10.3b / Interest Expense TTM 1.59b)
EV/FCF = 23.25x (Enterprise Value 163b / FCF TTM 7.00b)
FCF Yield = 4.30% (FCF TTM 7.00b / Enterprise Value 163b)
FCF Margin = 7.74% (FCF TTM 7.00b / Revenue TTM 90.4b)
Net Margin = 7.34% (Net Income TTM 6.64b / Revenue TTM 90.4b)
Gross Margin = 34.08% ((Revenue TTM 90.4b - Cost of Revenue TTM 59.6b) / Revenue TTM)
Gross Margin QoQ = 33.04% (prev 32.68%)
Tobins Q-Ratio = 2.91 (Enterprise Value 163b / Total Assets 55.9b)
Interest Expense / Debt = 3.52% (Interest Expense 1.59b / Debt 45.2b)
Taxrate = 24.21% (2.12b / 8.76b)
NOPAT = 7.80b (EBIT 10.3b * (1 - 24.21%))
Current Ratio = 1.10 (Total Current Assets 23.3b / Total Current Liabilities 21.1b)
Debt / Equity = -6.07 (negative equity) (Debt 45.2b / totalStockholderEquity, last quarter -7.44b)
Debt / EBITDA = 3.41 (Net Debt 41.8b / EBITDA 12.2b)
Debt / FCF = 5.97 (Net Debt 41.8b / FCF TTM 7.00b)
Total Stockholder Equity = -9.25b (last 4 quarters mean from totalStockholderEquity)
RoA = 12.96% (Net Income 6.64b / Total Assets 55.9b)
RoE = -71.79% (negative equity) (Net Income TTM 6.64b / Total Stockholder Equity -9.25b)
RoCE = 36.45% (EBIT 10.3b / Capital Employed (Equity -9.25b + L.T.Debt 37.5b))
RoIC = 22.66% (NOPAT 7.80b / Invested Capital 34.4b)
WACC = 6.50% (E(121b)/V(166b) * Re(7.93%) + D(45.2b)/V(166b) * Rd(3.52%) * (1-Tc(0.24)))
Discount Rate = 7.93% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -86.01 | Cagr: -0.94%
[DCF] Terminal Value 74.13% ; FCFF base≈7.28b ; Y1≈6.76b ; Y5≈6.12b
[DCF] Fair Price = 98.26 (EV 96.9b - Net Debt 41.8b = Equity 55.1b / Shares 561.0m; r=8.35% [WACC [floored]]; 5y FCF grow -8.95% → 2.50% )
EPS Correlation: -41.20 | EPS CAGR: -1.85% | SUE: 4.0 | # QB: 5
Revenue Correlation: 13.26 | Revenue CAGR: 0.44% | SUE: -0.75 | # QB: 0
EPS current Quarter (2026-10-31): EPS=3.13 | Chg30d=-0.46% | Revisions=-25% | Analysts=29
EPS current Year (2027-01-31): EPS=12.45 | Chg30d=-0.38% | Revisions=-40% | GrowthEPS=+1.4% | GrowthRev=+7.7%
EPS next Year (2028-01-31): EPS=13.41 | Chg30d=-0.48% | Revisions=-50% | GrowthEPS=+7.7% | GrowthRev=+3.0%
[Analyst] Revisions Ratio: -67% (up=0, down=6)